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danielnguyen
a little history.
“Since the Industrial Revolution, companies have
grappled with how they can exploit their competitive
advantage to increase their markets and their profits.
The model for most of the 20th century was a large
integrated company that can “own, manage, and
directly control” its assets.”


                                 source: http://bit.ly/4R73hr
INDUSTRIAL
REVOLUTION
  {~18th to 19th century}
INSHORE
OUTSOURCING


       OFFSHORE
       OUTSOURCING
EXAMPLE




INSHORE
OUTSOURCING
EXAMPLE


          NY



INSHORE
OUTSOURCING
EXAMPLE


          NY   KC



INSHORE
OUTSOURCING
EXAMPLE


          NY   KC



INSHORE
OUTSOURCING
A          B



INSHORE
OUTSOURCING
EXAMPLE

                                  AMERICAN
    PLAYBOY                        MEDIA


     Everything but editorials will be outsourced.

INSHORE
OUTSOURCING
OFFSHORE
OUTSOURCING
UNITED STATES




OFFSHORE
OUTSOURCING
UNITED STATES




                  manufacturing - China




OFFSHORE
OUTSOURCING
UNITED STATES




                  manufacturing - China

                  customer service - India

OFFSHORE
OUTSOURCING
UNITED STATES
                            INSERT
                              JOB
                             TITLE
                             HERE.


                  manufacturing - China

                  customer service - India

OFFSHORE          other jobs - Other Countries


OUTSOURCING
EXAMPLE



              INDIA

OFFSHORE
OUTSOURCING
what countries are good at... [2009]




                             source: http://bit.ly/4R73hr
what countries are good at... [2009]




RUSSIA
SOFTWARE.




                                         source: http://bit.ly/4R73hr
what countries are good at... [2009]



I NDIA
DESIGN.
TRAFFIC.




                                        source: http://bit.ly/4R73hr
what countries are good at... [2009]




PHILIPPINES
CONTENT.
DESIGN.
SOFTWARE.
                                           source: http://bit.ly/4R73hr
what countries are good at... [2009]




ROMANIA
CONTENT.
SOFTWARE.
TRAFFIC.
                                         source: http://bit.ly/4R73hr
what countries are good at... [2009]




UK
CONTENT.
DESIGN.
SOFTWARE.
TRAFFIC.
                                         source: http://bit.ly/4R73hr
what countries are good at... [2009]




AUSTRALIA
CONTENT.
DESIGN.
SOFTWARE.
TRAFFIC.                                 source: http://bit.ly/4R73hr
what countries are good at... [2009]

US | CANADA
CONTENT.
DESIGN.
SOFTWARE.
TRAFFIC.




                                           source: http://bit.ly/4R73hr
the point?




             source: http://bit.ly/4R73hr
the point?




EVERYONE
OUTSOURCES.
                 source: http://bit.ly/4R73hr
positives
positives
+ cut costs
positives
+ cut costs



+ performance & productivity
positives
+ cut costs



+ performance & productivity



+ eliminate inefficiencies
positives
+ cut costs



+ performance & productivity



+ eliminate inefficiencies


+ provides jobs overseas & new possibilities
negatives
negatives
 loss of American jobs
negatives
 loss of American jobs



 same labor laws don’t apply
negatives
   loss of American jobs



B same labor laws don’t apply



C quality of service isn’t always that great
TODAY
OFFSHORE
               OUTSOURCING
          DOESN’T APPLY TO
                EVERYTHING
 OFFSHORE
OUTSOURCING
   IS THE
  FUTURE.
OFFSHORE
OUTSOURCING
IS THE
FUTURE.
Linda Wertheimer “Well, what do you think? Is inshoring likely to catch on or do
you think bottom line realities continue to point offshore?"

Christine Ferrusi Ross "I think the reality is actually both. I think in the short term,
economic realities make it as cost effective in certain situations to have your call
centers or other kind of work done in the United States. Long term, you also have to
think, though, about population trends. We might not have the taleI think in the short
term, economic realities make it as cost effective in certain situations to have your call
centers or other kind of work done in the United States. Long term, you also have to
think, though, about population trends. We might not have the talent for I.T. to ever
really come back onshore fully, if you think about, as the United States, we're an older
population. Whereas, if you looked at India, their median age of the population is
much younger.”



                                                       source: http://j.mp/8pKl7M
“More aggressive outsourcers are aiming to create radical
business models that can give them an edge and change the
game in their industries. Old-line multinationals see
offshoring as a catalyst for a broader plan to overhaul
outdated office operations and prepare for new competitive
battles..."This isn't about labor cost," says Daniel Marovitz,
technology managing director for Deutsche Bank's global
businesses (DB ). "The issue is that if you don't do it, you
won't survive."

                                      source: http://j.mp/lfVL2
“The shift toward outsourcing is the clearest sign yet
that Stringer wants Sony to act more like Apple
(AAPL) or Cisco (CSCO). They consistently earn fatter
profit margins by designing their own products and
leaving manufacturing to others, and have made
serious inroads into portable music players and home
entertainment systems, where Sony was once king.


                                 source: http://j.mp/8vJibN
OFFSHORE
OUTSOURCING
DOESN’T
ALWAYS
WORK.
“Shifts in exchange rates, plus the strain on resources
needed to manage a relationship with an overseas
plant, make manufacturing in the U.S. newly viable
for some. Nearby production facilities are particularly
important for companies whose products have a short
life span and can't sit in transit for weeks, or for whom
custom orders and quick turnaround are the norm.”


                                   source: http://j.mp/6gIjO8
“...there's the unmeasurable aspect of what happens when a
company is no longer a culture but an amalgamation of
outsourcing partners. They may add great efficiency into the
business, but they generally add nothing to the long-term
vision. As most companies that have been around awhile are
aware, great ideas don't always come from the people at the
top. Outsourcing can eliminate an entire interaction layer that
is impossible to measure with objective tools. Cultures are
inextricably linked to innovation and quality, and the less
there is of the former the more the latter two will suffer in the
long term.”
                                        source: http://j.mp/2jLUzL
“Child labor pervades the developing world. The
International Labour Office estimates that at least 250
million children between the ages of 5 and 15 are
working...”



                                source: http://j.mp/5vGq8H
CONCLUSION
danielnguyen
sources
    "Outsourcing of Wholesale Lockbox Processing One Key to Banks' Profitability." Investment Weekly News 21 Nov. 2009:
A   283. Business and Company ASAP. Web. 29 Nov. 2009.
    <http://find.galegroup.com/gps/start.do?prodId=IPS&userGroupName=occc_main>.

    "Mercer Sees New Client Momentum Building for Its U.S. Outsourcing Business." Investment Weekly News 28 Nov. 2009:
B   177. Business and Company ASAP. Web. 29 Nov. 2009.
    <http://find.galegroup.com/gps/start.do?prodId=IPS&userGroupName=occc_main>.


C   “Outsource” New Oxford American Dictionary. 2nd Edition. 2005.


    SAMPLE - "Talent For Rent." Technology. Forbes LLC, 2009. General Reference Center Gold. Web. 29 Nov. 2009.
D   <http://find.galegroup.com/gps/start.do?prodId=IPS&userGroupName=occc_main>



E   Are Outsourced Jobs Coming Back?(11:00-12:00 PM)(Broadcast transcript)(Audio file).

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Outsourcing Project

  • 1.
  • 3.
  • 5. “Since the Industrial Revolution, companies have grappled with how they can exploit their competitive advantage to increase their markets and their profits. The model for most of the 20th century was a large integrated company that can “own, manage, and directly control” its assets.” source: http://bit.ly/4R73hr
  • 6. INDUSTRIAL REVOLUTION {~18th to 19th century}
  • 7. INSHORE OUTSOURCING OFFSHORE OUTSOURCING
  • 9. EXAMPLE NY INSHORE OUTSOURCING
  • 10. EXAMPLE NY KC INSHORE OUTSOURCING
  • 11. EXAMPLE NY KC INSHORE OUTSOURCING
  • 12. A B INSHORE OUTSOURCING
  • 13. EXAMPLE AMERICAN PLAYBOY MEDIA Everything but editorials will be outsourced. INSHORE OUTSOURCING
  • 16. UNITED STATES manufacturing - China OFFSHORE OUTSOURCING
  • 17. UNITED STATES manufacturing - China customer service - India OFFSHORE OUTSOURCING
  • 18. UNITED STATES INSERT JOB TITLE HERE. manufacturing - China customer service - India OFFSHORE other jobs - Other Countries OUTSOURCING
  • 19. EXAMPLE INDIA OFFSHORE OUTSOURCING
  • 20. what countries are good at... [2009] source: http://bit.ly/4R73hr
  • 21. what countries are good at... [2009] RUSSIA SOFTWARE. source: http://bit.ly/4R73hr
  • 22. what countries are good at... [2009] I NDIA DESIGN. TRAFFIC. source: http://bit.ly/4R73hr
  • 23. what countries are good at... [2009] PHILIPPINES CONTENT. DESIGN. SOFTWARE. source: http://bit.ly/4R73hr
  • 24. what countries are good at... [2009] ROMANIA CONTENT. SOFTWARE. TRAFFIC. source: http://bit.ly/4R73hr
  • 25. what countries are good at... [2009] UK CONTENT. DESIGN. SOFTWARE. TRAFFIC. source: http://bit.ly/4R73hr
  • 26. what countries are good at... [2009] AUSTRALIA CONTENT. DESIGN. SOFTWARE. TRAFFIC. source: http://bit.ly/4R73hr
  • 27. what countries are good at... [2009] US | CANADA CONTENT. DESIGN. SOFTWARE. TRAFFIC. source: http://bit.ly/4R73hr
  • 28. the point? source: http://bit.ly/4R73hr
  • 29. the point? EVERYONE OUTSOURCES. source: http://bit.ly/4R73hr
  • 32. positives + cut costs + performance & productivity
  • 33. positives + cut costs + performance & productivity + eliminate inefficiencies
  • 34. positives + cut costs + performance & productivity + eliminate inefficiencies + provides jobs overseas & new possibilities
  • 36. negatives loss of American jobs
  • 37. negatives loss of American jobs same labor laws don’t apply
  • 38. negatives loss of American jobs B same labor laws don’t apply C quality of service isn’t always that great
  • 39. TODAY
  • 40. OFFSHORE OUTSOURCING DOESN’T APPLY TO EVERYTHING OFFSHORE OUTSOURCING IS THE FUTURE.
  • 42. Linda Wertheimer “Well, what do you think? Is inshoring likely to catch on or do you think bottom line realities continue to point offshore?" Christine Ferrusi Ross "I think the reality is actually both. I think in the short term, economic realities make it as cost effective in certain situations to have your call centers or other kind of work done in the United States. Long term, you also have to think, though, about population trends. We might not have the taleI think in the short term, economic realities make it as cost effective in certain situations to have your call centers or other kind of work done in the United States. Long term, you also have to think, though, about population trends. We might not have the talent for I.T. to ever really come back onshore fully, if you think about, as the United States, we're an older population. Whereas, if you looked at India, their median age of the population is much younger.” source: http://j.mp/8pKl7M
  • 43. “More aggressive outsourcers are aiming to create radical business models that can give them an edge and change the game in their industries. Old-line multinationals see offshoring as a catalyst for a broader plan to overhaul outdated office operations and prepare for new competitive battles..."This isn't about labor cost," says Daniel Marovitz, technology managing director for Deutsche Bank's global businesses (DB ). "The issue is that if you don't do it, you won't survive." source: http://j.mp/lfVL2
  • 44. “The shift toward outsourcing is the clearest sign yet that Stringer wants Sony to act more like Apple (AAPL) or Cisco (CSCO). They consistently earn fatter profit margins by designing their own products and leaving manufacturing to others, and have made serious inroads into portable music players and home entertainment systems, where Sony was once king. source: http://j.mp/8vJibN
  • 46. “Shifts in exchange rates, plus the strain on resources needed to manage a relationship with an overseas plant, make manufacturing in the U.S. newly viable for some. Nearby production facilities are particularly important for companies whose products have a short life span and can't sit in transit for weeks, or for whom custom orders and quick turnaround are the norm.” source: http://j.mp/6gIjO8
  • 47. “...there's the unmeasurable aspect of what happens when a company is no longer a culture but an amalgamation of outsourcing partners. They may add great efficiency into the business, but they generally add nothing to the long-term vision. As most companies that have been around awhile are aware, great ideas don't always come from the people at the top. Outsourcing can eliminate an entire interaction layer that is impossible to measure with objective tools. Cultures are inextricably linked to innovation and quality, and the less there is of the former the more the latter two will suffer in the long term.” source: http://j.mp/2jLUzL
  • 48. “Child labor pervades the developing world. The International Labour Office estimates that at least 250 million children between the ages of 5 and 15 are working...” source: http://j.mp/5vGq8H
  • 51. sources "Outsourcing of Wholesale Lockbox Processing One Key to Banks' Profitability." Investment Weekly News 21 Nov. 2009: A 283. Business and Company ASAP. Web. 29 Nov. 2009. <http://find.galegroup.com/gps/start.do?prodId=IPS&userGroupName=occc_main>. "Mercer Sees New Client Momentum Building for Its U.S. Outsourcing Business." Investment Weekly News 28 Nov. 2009: B 177. Business and Company ASAP. Web. 29 Nov. 2009. <http://find.galegroup.com/gps/start.do?prodId=IPS&userGroupName=occc_main>. C “Outsource” New Oxford American Dictionary. 2nd Edition. 2005. SAMPLE - "Talent For Rent." Technology. Forbes LLC, 2009. General Reference Center Gold. Web. 29 Nov. 2009. D <http://find.galegroup.com/gps/start.do?prodId=IPS&userGroupName=occc_main> E Are Outsourced Jobs Coming Back?(11:00-12:00 PM)(Broadcast transcript)(Audio file).